Grab Ventures Velocity (GVV), the venture arm of Southeast Asia ride-hailing giant Grab, has opened the third batch of its early-stage accelerator in the region. Grab Ventures Velocity 3 is a partnership with BRI Ventures, Indonesia’s corporate venture capital company (CVC).
Grab launched its own investment arm after securing fresh proceeds from its Series H funding in 2018. The decacorn aims to invest in early-stage startups across Southeast Asia. Its first batch was launched in November 2018.
GVV is also the part of Grab Ventures’ commitment to invest $250 million in Indonesian startups under its ‘Grab 4 Indonesia 2020 Master Plan’, which aims to support the country’s ambitions of becoming the largest Southeast Asian digital economy by 2020.
GVV Batch 3 intends focusing on startups to provide value add services for the restaurant businesses and B2B logistics space. Under the first category, it will engage with startups that provide digital solutions for small and medium restaurant merchants to help grow their business, reduce costs or simplify operations.
The second category is targeted at startups which expect to disrupt the logistics industry with innovations in the warehousing and trucking space.
Grab Ventures Velocity CEO Chris Yeo said that the startups that the firm is interested in will be in the areas of workforce management, supply chain and marketing SaaS solutions, especially to support smaller restaurants.
Through GVV, Grab will be looking for 8 to 10 startups in this third batch that will undergo a 6-8 week workshop programme. The applications will be open until March this year.
“For us, our investment criteria is always about the business model. It is not just the business model; they also need to have a strong revenue or profitability model. The second criteria is we always look for companies that have synergy with Grab. Profitability is important but it has been our investment criteria from day one,” Yeo told DealStreetAsia.
Last year, the decacorn selected 10 startups for the second batch of GVV, with seven of them from Indonesia (Eragano, PergiUmroh, Porter, Sayurbox, Tanihub, Tamasia, and Qoala), two from Singapore (Treedots and GLife), and one from Malaysia (MyCash Online).
After graduation, these startups have been receiving support from Grab to offer their services to its user app and the GrabKios app. Currently, GVV alumni have empowered more than 117,000 micro-entrepreneurs.
Yeo also told DealStreetAsia last year that the selected startups will gain access to Grab’s internal and external network of C-level advisors and experts. They will also able to leverage GrabPlatform resources such as Grab’s cloud APIs, to accelerate their business development.
Grab Ventures and BRI Ventures also signed a strategic partnership to create new joint initiatives that will bring Grab and BRI’s ecosystem to support the Indonesian startup community.